iPhone Driving Subscriber Growth for Verizon as Stock Reaches for $40


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Verizon ( VZ ) recently announced its Q2 earnings in which it posted better than expected net subscriber addition number thanks mainly to Apple's ( AAPL ) iPhone. Verizon started selling the iPhone 4 in early February this year and since then has activated a total of 4.5 million iPhone 4s including 2.3 million this quarter. Verizon added 1.3 million retail postpaid subscribers in this quarter, which is the highest quarter of postpaid additions since the fourth quarter of 2008. Clearly, the iPhone is helping Verizon gain some market share in the wireless market challenging AT&T ( T ) and Sprint ( S ), which is struggling with its 4G strategy.

Our $40.60 price estimate for Verizon stock is about 10% above market price.

See our complete analysis for Verizon

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

This article appears in: Investing , Investing Ideas , Stocks , US Markets
Referenced Stocks: AAPL , S , T , VZ

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